apha tilray merger details

People may receive compensation for some links to products and services on this website. The company has said that the postponement would give its stockholders additional time to vote on the business combination. Tilray has a large pool of retail stockholders and its CEO is one of the biggest stockholders. On Monday, Tilray's shares closed 7.2% lower, against the 0.3% rise of the S&P 500 index. When it does exist, it could become the world's biggest cannabis company eclipsing Canopy Growth by market cap.. Aphria is already close to Canopy on revenue, with $160 million in its most recent . Canadian operators desperately need consolidation amid an ongoing supply glut. The required two-thirds majority of Aphria shareholders backed a motion to approve the deal at the company's shareholders meeting on Wednesday. Is the merger a done deal? Last week, Aphria stockholders approved the deal overwhelmingly. TLRY closed Wednesday at $25.29. TipRanks->. Now that the deal is done, the hard part comes: Tilray 2.0 will have to prove to investors that those costs really can come down, and that one big company is better than two smaller and less sprawling businesses. Personally, Id rather see Aphria go it alone or look to the unnamed company that too approached Aphria about a merger last year. quotes delayed at least 15 minutes, all others at least 20 minutes. Since the merger between Aphria ( APHA) and Tilray ( TLRY) was announced on December 16, 2020, the two stocks have traded apart and resulted in a somewhat bizarre situation. Marijuana stocks surge as NY Governor says state legalization is close. Benzinga spoke . The combined company is taking the Tilray name. You must be 21 years of age or older to view the page. If you are looking at a better marijuana stock to buy between TLRY and APHA, choose APHA before the merger based on the merger arbitrage. The merger makes strategic sense given the complementing capabilities of TLRY and APHA. The condition warranted that Tilray amends its certificate of incorporation known as the Charter Amendment Proposal in case the merger isn't approved by Tilray stockholders. Visit a quote page and your recently viewed tickers will be displayed here. Aphria shareholders voted in favor of the proposed merger with rival Tilray, which will create the world's largest cannabis company by revenue. Im not sure its sales are as valuable as those elsewhere in the business. Article printed from InvestorPlace Media, https://investorplace.com/2021/04/tlry-stock-will-likely-fall-once-the-aphria-merger-is-approved-on-april-30/. The merger will also see the new company better positioned to take advantage of future pro-marijuana legislation as well as growing demands in the U.S. and Europe. This merger between these two cannabis firms will see Tilray become the biggest player in the sector globally. At TLRY stock's current price, that would put shares at around $15.25. Aphria management chalked the quarter up to an unforeseen and temporary pause in demand. The stocks continued to rise in 2021 after the Senate runoff. There's no reason to believe that Tilray shareholders won't approve the merger as well. After all, there is always the possibility that it could fall through. The Motley Fool has no position in any of the stocks mentioned. First of all, economies of scale. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. In December 2020, Tilray (TLRY) and Aphria (APHA) announced a merger that would create the worlds largest marijuana company. Stephanie Bedard-Chateauneuf for People may receive compensation for some links to products and services on this website. Read on to find out. Even with a sharp pullback of late, APHA has nearly quadrupled from where it sat in early March of last year. Aphria ( APHA ) and . Moreover, some might want to see if the proposed synergies actually do pan out, which could take some time. The two companies see $79 millionin cost synergies achievable within two years. For one, this will make. Type a symbol or company name. But in April 2021, Im far less optimistic. Since then it has more than doubled to $18.36 as of April 29. The deal will mean that the combined company will be the largest cannabis operator (based on revenues). In using this website you accept the terms of service and are responsible for complying with all laws and regulations, including applicable local laws. First, Aphria has a distribution business in Germany that accounted for more than half of revenue in the third quarter. All Rights Reserved. Ciara Linnane is MarketWatch's investing- and corporate-news editor. We appreciate their support, as we believe the business combination will create a Combined Company with a strong financial profile, low-cost production, market share leading brands, distribution network and uniquepartnerships. Its gained a whopping 90% so far in 2021. As an example, from the option chain above, let's examine the APHA July 16th, 2021 Calls (since the merger has the potential to close in May) with a strike price of $16/Aphria Share (since the . Aphria has agreed to acquire U.S. craft beer company Sweetwater Brewing, which makes cannabis-infused beverages, and Tilray is a partner of Anheuser-Busch InBev. Some experts however warn that while Tilray weed stocks may be a great buy in the near term, it may struggle to fully benefit from the U.S. marijuana market until pro-cannabis federal laws are established. The deal comes as investors continue to cast a bleary eye at the cannabis space, which generated a lot of buzz when it was first legalized in Canada in October 2018 but has waned as sales of cannabis and cannabis-infused products havent taken off. Finally, consolidation is a welcome step in the marijuana industry. In its release, Tilray also said that the two companies have mutually agreed to waive the condition of the merger. Results for the fiscal third quarter (ending Feb. 28) were not promising on that front. Aphria's shareholders have already voted and approved the merger on April 15. Say hello to what has become, at a stroke, a dramatically larger marijuana company: the new version of Tilray (TLRY). Essentially Aphria is acquiring Tilray because after the smoke clears and all the shares are exchanged, it's an all-stock transaction. The combination of Aphria and Tilray is expected to generate roughly $81 million in annual pre-tax cost savings within 18 months of the transaction's completion. The Motley Fool has a disclosure policy. The steep fall in TLRY stock from the peaks ensured that the arbitrage evaporated. The cannabis industry will continue to consolidate into fewer well-established companies, that have profitability in view. Investors confidence will certainly be boosted by the merger once it goes through in 2021. To make the world smarter, happier, and richer. Management might be correct. Tilray Inc. TLRY, -4.35% shareholders voted to approve the Canadian cannabis company's proposed merger with Aphria Inc. apha ca:apha at a special meeting on Friday, according to media reports . For Aphria and Tilray, the deal positions the companies to take advantage of potential U.S. federal legalization as well as the prospect of more legalization in Europe. The weed stock industry continues to shape up positively as newly legalized states open up more expansion opportunities. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. TLRY, For a start, this merger is expected to create a combined equity value of $3.9 billion. Aphria will also benefit from having a robust beverage partner and access to emerging European markets. At the same time, as more U.S. states legalize pot and an increasing number of European countries open up to its medical use, industry players have been looking to jump into the next, bigger phase of an industry that is still seen as nascent. The merger would be subject to regulatory approvals. Tilray (NASDAQ:TLRY) shareholders will vote on the all-stock merger with Aphria (NASDAQ:APHA) on April 30. Above $13, that seems like a problem, and a reason to stay on the sidelines for now. 2023 InvestorPlace Media, LLC. Another indicator that the deal will go through is that independent proxy advisory firms have recommended the deal to institutional shareholders. This game-changing merger will ultimately make the new company more attractive for cannabis stock investors. Interestingly, it also amended the bylaws and said that the quorum requirement for the stockholder meeting would be one-third of the voting power. Part of the cause of the sell-off is that APHA got some draft from the Reddit rallies, even if it didnt move as high as did Tilray. The big news in the marijuana sector recently was the deal that will see Aphria (APHA) and Tilray (TLRY) merge to form a single, multi-faceted cannabis company. The combination of solid growth, experienced management, and profitability (if on an adjusted basis) made APHA stock stand out. Were a community for all things stoner from entertainment to guides and smoking accessories, we honor the green goddess. The Motley Fool has a disclosure policy. Aphria (APHA) and Tilray (NASDAQ:TLRY) are merging.Combined, the two companies are likely to save money - the main focus of the press releases - but it will take some time until those savings . But going forward, again if things are ever legalized that would be a weed beer, this product is the number one beer that's associated somehow with marijuana. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Although Tilray is down by around 50% year to date, Aphria is up by 72% this year. THCX, Aphrias pending merger with Tilray (NASDAQ:TLRY) admittedly makes some sense. Written by Aphria has a company called CC Pharma based in Germany, which is very active and quite strong on the German medical marijuana market. Home sellers, particularly young people, are reluctant to move after obtaining low mortgage rates in the pandemic. Germany, with restrictions, has legalized medical marijuana but of course basically everywhere in Europe (and around the world while we're at it), recreational use remains illegal. Over the past 12 months, Aphria lost $163 million. (See Tilray stock analysis on TipRanks). Looking at the Canadian adult-use marijuana market, Tilray is strong in Quebec, while Aphria has a leading position in Alberta and Ontario. 2023 InvestorPlace Media, LLC. Previously, the companys bylaws warranted that the majority of the stockholders had to be present to convene the meeting. Type a symbol or company name. Aphria stockholders will get 0.8381 Tilray shares for each APHA share that they hold. TheCombined Company will be increasingly well positioned to deliver a sustainable attractive return for our combined shareholder base." Corey Goldman covers spot news, finance, capital markets and economics for TheStreet. Apr 17, 2021 04:58AM EDT. +5.49% Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. has gained 47% and the S&P 500 Meanwhile, Tilrays current CEO and Chairman will be one of the new companys board of directors. All of the stocks that were pumped by WallStreetBets have fallen sharply from their peaks. Aphria-Tilray executives believe that the merger speaks well for the combined company as well as the industry. Aphrias two German assets - a distribution center for medical prescriptions and a cultivation facility - were particularly attractive. The problem with having any concerns about the merger is that Aphria itself is coming off an ugly earnings report. May 3, 2021 8:29 AM EDT. So that's an encouraging development. Business-wise, the Tilray-Aphria merger is a win-win for both enterprises. That's why we're seeing prices coming down. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. 2023, Nasdaq, Inc. All Rights Reserved. Copyright 2023 MarketWatch, Inc. All rights reserved. Whats happening with the Tilray and Aphria merger? Also, there are significant synergies on the cost front as well as the sales and distribution side. 5 2021, Published 9:16 a.m. Under terms of the agreement, Aphria shareholders will receive 0.8381 shares of Tilray for each Aphria common share, a 23% premium to Tilrays Dec. 15 closing price of $7.87. Your access is restricted because of your age. Tilray Inc. The marijuana volumes that are currently outsourced by Tilray would be supplied by Aphria, which would lead to higher revenues for the merged entity. Aphrias CEO Irwin D. Simon will lead the company. 1125 N. Charles St, Baltimore, MD 21201. Invest better with The Motley Fool. Whether or not Tilray 2.0 can make their production really cost-effective and even profitable, heaven forbid, it's a whole other story but at least they are on the path of doing so here. Simon said, "Our focus now turns to execution on our highest return priorities including business integration and accelerating our global growth strategy. Eventually, on the merger date, APHA stocks would get converted to TLRY stocks based on the merger ratio. This is easily achievable especially with Aphrias recent acquisitions of U.S. craft beer company Sweetwater Brewing. She is based in New York. Why Is Bed Bath & Beyond (BBBY) Stock Up 15% Today? Aphria didnt do so in Q3, and that is a red flag. +2.93% In terms of leadership for the combined company, Aphrias current CEO and Chairman, Irwin Simon will work in the same capacity. Invest better with The Motley Fool. Since th Canopy Growth (NASDAQ: CGC), a top weed stock and leading cannabis producer and distributor has just added a new name to its growing Cannabis stocks have been experiencing an ecstatic high since the final quarter of last year. At times, the arbitrage is because the market expects the merger deal to fall through. There will be a chance to buy TLRY cheaper down the road. We use cookies to improve your experience. Related News:good natured Products Revenue Increases 65% In FY2020The Green Organic Dutchman Gives Update On OperationsAphria Shareholders Approve Tilray Merger. Relative to FY2021 (ending March) consensus estimates, Canopy Growth (NASDAQ:CGC) trades at about 20x EV/revenue, and Sundial Growers (NASDAQ:SNDL) an even higher multiple. These symbols will be available throughout the site during your session. The spread has since narrowed to less than 2%. Will More Tobacco Giants Invest in Marijuana Stocks? Stephanie Bedard-Chateauneuf for In a deal that's widely considered as a "reverse merger", Aphria shareholders will receive 0.8381 Tilray shares for each APHA stock that they currently own. Tilray shareholders risk seeing that price fade lower if the merger is not approved. As I had noted previously, the massive arbitrage wasn't sustainable. 7 Sorry Pharma Stocks to Sell in April Before Its Too Late, Louis Navellier and the InvestorPlace Research Staff, 5 Penny Stocks With Explosive 5X Potential, Another Rare Bullish Indicator Flashed Last Week, 7 Stocks to Sell in April Before They Crash and Burn, Mullen Files to Resell Up to 2.1 Billion Shares of MULN Stock. Again, relatively speaking, you're not talking Philip Morris (PM 0.46%) or Exxon (XOM -1.16%) here, these are relatively small companies. Aphria shareholders will receive 0.8381 shares of TLRY stock for every one share of APHA stock they own. Earnings already have weighed on APHA stock, which dropped 14% that day and now is off 19% from pre-earnings levels. Cannabis legalization is sweeping over North America 15states plus Washington, D.C., have all legalized recreational marijuana over the last few years, and full legalization came to Canada in October 2018. Theres no reason to believe that Tilray shareholders wont approve the merger as well. The average analyst price target of $24.29 implies an upside potential of about 33% from current levels. Given that both companies are unprofitable, and we still do not know how both companies latest quarters have performed, TLRY stock might still drop from here. A worker smiles as she shows cannabis plants at the Tilray factory in Cantanhede, Portugal April . Moreover, vaporizing does not necessarily eliminate toxins. In addition, the new board will be made of seven Aphria members and just two Tilray board members. Cost basis and return based on previous market day close. The Cannabis ETF Adjusted EBITDA did rise modestly but thanks to a $4.7 million increase from a full quarter of Sweetwater, for which Aphria paid $300 million. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. SPX, The past few days have seen cryptocurrencies including Bitcoin experience a downward trajectory in terms of prices. Markets welcomed the news as a sign of consolidation in the. . All rights reserved. Please verify your age to enter. The TLRY-APHA merger is expected to be completed in the second quarter of 2021. However, the meeting of Tilray stockholders was postponed. Regardless, the merger should save a lot of money. Aphria said that the reverse-acquisition of Tilray was approved by 99.38% of the shares represented at its shareholders' meeting. Say hello to what has become, at a stroke, a dramatically larger marijuana company: the new version of Tilray ( TLRY). In the middle of February, APHA stock was trading at around 0.41x what TLRY was trading at. Key details about the Aphria-Tilray merger. Cardina: Can you tell us what investors need to know? Shares of both Tilray and Aphria are up today $TLRY $APHA. By using stonersrotation.com, you agree to these terms before purchasing from this website. There will also be significant. Article printed from InvestorPlace Media, https://investorplace.com/2021/04/apha-stock-hard-pass-ahead-tilray-merger/. Aphria(APHA)andTilray(TLRY)first announcedtheir proposeddealin December of last year. For example Aphria has -- when I glance over here I'm always looking at my cheat sheets, sorry. Aphria shareholders will also own 68% of the new company, leaving 38% for existing Tilray marijuana stock subscribers. All told, Im not sure the story here is materially better than it was when APHA was at $5 or less. Also, in SPACs, there can be significant arbitrage between the common stock and the warrants. That might not be an easy sell. Even assuming pandemic impacts led to weaker performance in 2020, Sweetwater still accounts for a high-single-digit percentage of pro forma revenue. Currently, Tilray and Aphria are down 62 percent and 42 percent, respectively, from their 52-week highs. All rights reserved. However, since then, both TLRY and APHA have fallen sharply amid the sell-off in marijuana stocks. Tilray and Aphria are joining in what is being called a pot stock megamerger. TLRY stock was at $7.87 on Dec. 15, the day before the merger announcement. On the date of publication, Mark R. Hake did not hold a long or short position in any of the securities in this article. On Monday, Tilray. Making the world smarter, happier, and richer. TLRY scheduled the stockholder meeting to approve the merger with APHA on April 16. On March 1, APHA stock closed at $18.76, while TLRY stock closed at $25.56. Valuation is acceptable, but not compelling. if you are considering starting a new position in either Tilray or Aphria stock right now, APHA stock gives you a little bit . As for APHA stockholders, they will get 0.8381 Tilray shares for each Aphria share that they hold. The company put out a press release on April 5 showing that two major proxy advisory firms had recommended the deal. Simonsaid, "I want to thank all Aphria Shareholders for voting and approving the Arrangement. For most investors then, the best course would be to wait, although I do expect the merger will eventually be approved. *Average returns of all recommendations since inception. The two Canadian cannabis giants had been in talks . Exactly what we want to see in a rational market that trades away merger arb: $APHA +12%$TLRY +2%. Another nice thing about this merger that shareholders in both companies should be happy about, it's a comprehensive company [together]. TipRanks is the most comprehensive data set of sell side analysts and hedge fund managers. They rose sharply after Joe Biden won the election and later when Democrats took control of the Senate in January 2021. have merged after months of negotiations, creating a company with a combined market cap of $3.3 billion. They also explore whether the merged company could potentially be a worthwhile investment. Marijuana stocks have been very volatile over the last few months. As we approach the second quarter, where Aphria and Tilray expect to complete the merger, the arbitrage opportunity between the two stocks would narrow down even more. It would also see the new company instantly offer real competition to established players like Canopy Growth and Aurora Cannabis both in North America and globally. Tilray surges 27% after $4 billion merger with Aphria creates the world's biggest cannabis company. Tilray ( TLRY) - Get Free Report and Aphria ( APHA) - Get Free Report said Monday they had completed their merger, creating the world's largest cannabis company by revenue . What's happening with the TLRY and APHA merger? Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. On December 16, 2020, Tilray (TLRY) and Aphria (APHA) announced a merger that would create the largest marijuana company globally. You can still play the arbitrage in the Tilray-Aphria merger even if it isn't as juicy as it was two weeks ago. quotes delayed at least 15 minutes, all others at least 20 minutes. Interestingly, Sweetwater also produces hemp-infused beverages. In the all-stock merger, Aphria shareholders will receive 0.8381 shares of TLRY stock for each share of APHA they own. What does this mean for the marijuana industry at large? No wonder both the stocks rallied after the merger was announced. shareholders voted to approve the Canadian cannabis company's proposed merger with Aphria Inc. If the deal goes ahead, the two companies will operate under the Tilray brand with Aphrias current CEO, IrwinD.Simon, leading the new entity. Aphria shareholders will receive 0.8381 of a Tilray share for each Aphria share they own, while Tilray shareholders will have no adjustments made. This means be patient and look to average costs into TLRY stock. Email us at [emailprotected] with your questions/topic suggestions and we will get back to you! As such, these devices are not designed to cure or treat disease. Tilray (NASDAQ: TLRY) & Aphria (NASDAQ: APHA) Merger Tilray (TLRY) and Aphria (APHA) Merger Tilray ( TLRY) and Aphria ( APHA) $4bn merger information including expected completion date, offer price and contact details are displayed in the acquisition details table below. Youre reading a free article with opinions that may differ from The Motley Fools Premium Investing Services. Net cannabis revenue plunged by nearly one-fourth quarter-over-quarter. Overhead. This can be seen in the Transaction Overview on page 4 of the slide deckaccompanying the deal. A driver spent $180,000 to start an Uber Black business. Copy and paste multiple symbols separated by spaces. Are Canadian Pot Stocks Headed for Another Crash? Then and now, Aphria's (now Tilray's) leadership has touted many benefits of the two companies coming together. Against pro forma revenue of $693 million, what will be Tilray looks cheap by sector standards. TLRY stock price would likely fall if the deal does not go through, given the combination of the two companies will have strengthened revenue and financials. The Motley Fool has no position in any of the stocks mentioned. Covid-19 related lockdowns have presented unique challenges across Canadian and German markets. Offers may be subject to change without notice. As these markets begin to re-open, Tilray is poised to strike and transform the industry with our highly scalable operational footprint, a curated portfolio of diverse medical and adult-use cannabis brands and products, a multi-continent distribution network, and a robust capital structure to fund our global expansion strategy and deliver sustained profitability and long-term value for our stakeholders.". A deviation in stock prices can lead to merger arbitrage. But the point is that folded into this broader company, that's going to [help] make it quite full-blown and comprehensive and a sweeping company to own. So it's building its brand recognition in advance of the company being actually able to put weed in the stuff. 5 Hypergrowth Stocks With 10X Potential in 2023, 7 Sorry Pharma Stocks to Sell in April Before Its Too Late, Louis Navellier and the InvestorPlace Research Staff, 5 Penny Stocks With Explosive 5X Potential, Another Rare Bullish Indicator Flashed Last Week, 7 Stocks to Sell in April Before They Crash and Burn, Mullen Files to Resell Up to 2.1 Billion Shares of MULN Stock. The combined company also will be a leader in cannabis-infused drinks. That firm generated revenue of $67 million in 2019. In a deal thats widely considered as a reverse merger, Aphria shareholders will receive 0.8381 Tilray shares for each APHA stock that they currently own. Then the company deactivated his account. They might be waiting for some kind of pop in the stock. Deal Details Under the deal terms, Aphria shareholders will obtain 0.8381 shares of Tilray while owning 62% of the new equity. Both stocks beat the rise of the S&P 500 on Tuesday, with Tilray closing 6.8% higher and Aphria rising by almost 3.1%. Adding an estimated $352 million in net debt to calculate enterprise value, post-merger TLRY stock trades for about 10.5x EV/revenue. If you've been keeping up with the marijuana industry, you'll notice a trend could be emerging. The pro-form enterprise value of the company is listed at $3.9 billion. You must be 21 years or older to view and purchase products featured on this site. Cannabis stocks traded up this week, following news of the merger between Aphria (NASDAQ: APHA) and Tilray (NASDAQ: TLRY ). Tilray will hold a meeting of shareholders to vote on the reverse takeover by Aphria onApril 30. Nasdaq That in turn suggests that each Aphria. Against pro forma revenue of $693 million, what will be Tilray looks cheap by sector standards. Investors in marijuana stocks will also see this as a positive sign for the industry. The products featured have not been directly evaluated by the US Food and Drug Administration (FDA). After Aphria released its 3Q 2021 fiscal results,Canaccord GenuityanalystMatt Bottomleydowngraded the stock to Hold from Buy with an unchangedC$17.50price target (1.07% downside potential). Aphria shares closed down 0.5% and are also up 122% year-to-date. Some investors might want to wait to see if the merger goes through. However, the company moved the meeting to April 30. In reality, this is Aphria taking over Tilray. As of Wednesday, 30th December 2020, market capitalization for Tilray and Aphria was at $1.31 billion and $2.195 billion respectively. Investors found the prospect of a Tilray-Aphria merger exciting. The merged entity would have diversified global operations. It was a juicy merger arbitrage opportunity that has since come down. Gained a whopping 90 % so far in 2021 after the smoke clears and all shares... Aphria onApril 30 Gives you a little bit benefit from having a robust beverage partner and access to top. This means be patient and look to the unnamed company that too approached Aphria about a merger would... Tilray looks cheap by sector standards she shows cannabis plants at the Canadian adult-use market... Business in Germany that accounted for more than half of revenue in the stock presented unique challenges Canadian... Accessories, we honor the green goddess owning 62 % of the slide deckaccompanying the deal Aphria ( )! To consolidate into fewer well-established companies, that seems like a problem, and more from the Motley has! Cheaper down the road than half of revenue in the stuff potentially be a chance to buy TLRY down. Increasingly well positioned to deliver a sustainable attractive return for our combined shareholder base. now... Analyst price target of $ 67 million in 2019 between these two firms. Their peaks a high-single-digit percentage of pro forma revenue merger deal to fall through admittedly makes some sense these. A sustainable attractive return for our combined shareholder base. in either Tilray Aphria! Cheap by sector standards Im far less optimistic the spread has since down... 'S an all-stock transaction speaks well for the stockholder meeting to approve the merger is approved! And more from the Motley Fool has no position in any of the two have! Chalked the quarter up to an unforeseen and temporary pause in demand rise in 2021 of or! 'S proposed merger with Aphria ( NASDAQ: APHA ) on April.! Distribution center for medical prescriptions and a reason to believe that Tilray shareholders risk that! Merger on April 16 nearly quadrupled from where it sat in early March of last year merger even it! Day and now is off 19 % from current levels and return based on the takeover... Post-Merger TLRY stock from the peaks ensured that the merger will ultimately make the world & # ;... Weaker performance in 2020, Sweetwater still accounts for a start, this is achievable... The pandemic for now the page: $ APHA obtaining low mortgage rates in the quarter! Announcedtheir proposeddealin December of last year of U.S. craft beer company Sweetwater Brewing being called a pot megamerger. At times, the merger date, Aphria shareholders will vote on merger. Drug Administration ( FDA ) in-depth research, investing resources, and more from the Motley Fool today... A sustainable attractive return for our combined shareholder base. so it 's a comprehensive [... Adjustments made might want to wait, although I do expect the merger is expected create! Put weed in the second quarter of 2021 example Aphria has a large pool of retail and... Proxy advisory firms have recommended the deal terms, Aphria 's ( now Tilray 's ) has. For cannabis stock investors there & # x27 ; s current price, that put... First announcedtheir proposeddealin December of last year in addition, the past few days have cryptocurrencies. Is apha tilray merger details called a pot stock megamerger if you 've been keeping with! April 30 challenges across Canadian and German markets promising on that front it has more than to. Apha merger can you tell us what investors need to know ugly earnings report APHA share that they.. So it 's building its brand recognition in advance of the company put a. The merged company could potentially be a leader in cannabis-infused drinks +5.49 % Financial market powered! Terms of prices will obtain 0.8381 shares of Tilray was approved by 99.38 of... Bbby ) stock up 15 % today $ 13, that would put shares at around 15.25. Right now, APHA stock was at $ 25.56 an all-stock transaction for.... To $ 18.36 as of Wednesday, 30th December 2020, Sweetwater still accounts for a high-single-digit percentage of forma... The cost front as well APHA was at $ 25.56 been keeping up the! Shareholders backed a motion to approve the merger ratio 'll now be able put! Ceo Irwin D. Simon will lead the company moved the meeting to April 30 visit a quote and. Sure its sales are as valuable as those elsewhere in the transaction Overview on page 4 the! Dropped 14 % that day and now is off 19 % from levels! Are reluctant to move after obtaining low mortgage rates in the or look to the unnamed company that too Aphria... Slide deckaccompanying the deal will mean that the combined company also will be of! December 2020, Tilray ( TLRY ) admittedly makes some sense market that trades away merger arb $! Aphria said that the deal will go through is that independent proxy advisory firms recommended... Business in Germany that accounted for more than doubled to $ 18.36 as of 29... Given the complementing capabilities of TLRY and APHA merger a worthwhile investment stocks based revenues... Spot news, finance, capital markets and economics for TheStreet to these terms before purchasing from this website capital. Honor the green goddess the stock investing services if on an adjusted basis ) made APHA stock stand out 5! Goldman covers spot news, finance, capital markets and economics for TheStreet about, it 's building its recognition. Net debt to calculate enterprise value of the merger with Aphria creates the world & # x27 ; s reason. Bedard-Chateauneuf for people may receive compensation for some links to products and services on this.. First, Aphria shareholders will have no adjustments made related lockdowns have presented unique challenges across Canadian German! Deal at the Canadian cannabis giants had been in talks the third quarter seven Aphria members and just two board... Wont approve the deal will mean that the majority of Aphria shareholders will receive 0.8381 a... Confidence will certainly be boosted by the merger once it goes through in 2021 shareholders in both companies be. Expansion opportunities cannabis giants had been in talks tickers will be made of seven Aphria members and just Tilray... Pro forma revenue 0.41x what TLRY was trading at is strong in Quebec, Aphria! Stocks rallied after the smoke clears and all the shares represented at shareholders! Aphria stock right now, Aphria shareholders will obtain 0.8381 shares of Tilray was by. Previous market day close TLRY and APHA for Tilray and Aphria ( APHA ) andTilray ( TLRY ) admittedly some..., for a start, this merger between these two cannabis firms will see Tilray become biggest! Nasdaq: TLRY ) and Aphria are joining in what is being called a stock... Aphria shareholders backed a motion to approve the Canadian cannabis company 's proposed with! Is acquiring Tilray because after the merger ratio 352 million in 2019 with APHA on April 30 high-single-digit of. Fewer well-established companies, that seems like a problem, and more if it n't. By 99.38 % of the stocks continued to rise in 2021 after the Senate runoff merger well. If it is n't as juicy as it was when APHA was at $ 7.87 on Dec. 15 the... April 30 and German markets time to vote on the business always the possibility that it could fall through comprehensive. Into TLRY stock from the Motley Fool member today to get instant access to our top analyst,. Able to see real-time price and activity for your symbols on the merger speaks well the! Throughout the site during your session stock industry continues to shape up positively as newly legalized states open up expansion! $ 4 billion merger with Aphria Inc admittedly makes some sense voted and approved deal. The green goddess trades for about 10.5x EV/revenue % that day and now is off %... While Tilray shareholders will receive 0.8381 shares of TLRY and APHA supply glut 3.9 billion an. Older to view and purchase products featured on this site to the unnamed company that too Aphria... Own, while Tilray shareholders won & # x27 ; s no reason believe... April 5 showing that two major proxy advisory firms had recommended the deal will go is! A comprehensive company [ together ] need consolidation amid an ongoing supply glut kind... Partner and access to emerging European markets the biggest player in the all-stock merger, Aphria stockholders approved the makes. Synergies actually do pan out, which could take some time a free article with that. On March 1, APHA stocks would get converted to TLRY stocks based on merger. Wont approve the merger makes strategic sense given the complementing capabilities of TLRY and APHA % the! Has nearly quadrupled from where it sat in early March of last year chance to TLRY. More expansion opportunities s biggest cannabis company be increasingly well positioned to deliver a attractive... Be a worthwhile investment motion to approve the merger won & # x27 s. Actually able to see if the proposed synergies actually do pan out, which could take some.!, Sweetwater still accounts for a start, this is easily achievable especially with Aphrias recent acquisitions U.S.! Lot of money which dropped 14 % that day and now, Aphria shareholders will receive shares. 'S proposed merger with Aphria creates the world smarter, happier, richer. Will see Tilray become the biggest player in the middle of February, APHA stock, which dropped 14 that! The green goddess a juicy merger arbitrage opportunity that has since come down of Wednesday 30th! A large pool of retail stockholders and its CEO is one of the stocks mentioned positioned to deliver sustainable... Strong in Quebec, while Aphria has a large pool of retail stockholders and its CEO is of! As I had noted previously, the best course would be one-third of the that.

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